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    The LAPINDO Mud Disaster

    a presentation by

    UGURUPaulJiexinDENGALEJIAmos

    RusmanRIANTOEDEKELawrence

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    INDONESIA An overview

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    Second level Third level Fourth level Fifth level

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    INDONESIA An overviewv Largest Archipelago country, located in Southeast Asia with a

    population of over 228 million.

    v Major islands: Kalimantan, Sumatra, Papua, Sulawesi and Java

    v Main natural resources: Petroleum, Natural Gas, Coal, precious

    metals, timber and fertile soils.

    v 35% of the GDP is from the industrial sector most of which ispetroleum, natural gas and mining.

    v Sidoarjo is a regency in Eastern Java and home to the Banjar Panji 1Gas Well: THE MOST ENVIRONMENTALLY DESTRUCTIVE OIL AND GASWELL EVER DRILLED! (www.indonesia-ottawa.org) .

    http://www.indonesia-ottawa.org/http://www.indonesia-ottawa.org/
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    HS & E Issues In DevelopingCountries

    v Absence ofadequate National legislation

    v Non/poor implementation and enforcement of

    existing legislation

    v Lack of transparency in reporting industrialaccidents e.g. RIDDOR

    v Negligence and poor operating standards byoperators (both Local and International)

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    Click to edit Master text styles

    Second level Third level

    Fourth level Fifth level

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    Fourth level Fifth level

    Cross section of - BANJAR PANJI 1 Gas Well

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    Click to edit Master text stylesSecond level

    Third level Fourth level

    Fifth level

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    v Since May 2006, Banjar-Panji 1 gas wellhas emitted 150,000 m3 of hot,viscous and toxic mud

    v Submerged approx. 6km of land

    v Mud found to contain an inestimablecocktail of benzene, toluene, xylene,

    heavy metals, NH3, SO2, phenol,steam, H2S, CH4 & H2O! (www.energytribune.com)

    v Over 1,500 people affected by H2Spoisoning

    v More than of 15,000 people displacefrom 11 villages

    http://www.foeeurope.org/

    And the disaster continues ...

    http://www.energytribune.com/http://www.energytribune.com/
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    Click to edit Master text stylesSecond level Third level Fourth level Fifth level

    The Disaster in U$D

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    v Environmental impacts

    v Health and Safety impacts

    v Economic impactsv Social impacts

    One action - Multiple IMPACTS!

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    v Loss of biodiversityv Flora disorder

    v Fauna disorder

    v Soil microorganism disorder

    v Air pollution:v toxic gas emission such as CH4,

    SO2, CO2, NO2, NH3 and H2S

    v Water pollution

    v Land Contamination

    Impact on the ENVIRONMENT

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    v Physical

    v High risk of accidents

    v Ill health problem due to pollution of air and water

    v Acute effect:

    v Respiratory tract irritations (from nose to bronchus)

    v

    Coughv Toxic gas emission causes headache, unconsciousness,

    disorientation and death

    v skin irritation

    v gastritis due to psychogenic effects.

    v

    Chronic effect: Leukemia & Cancerv Psychosomatic:

    v Emotion

    v Frustration

    Impact on HEALTH & SAFETY

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    v Job loss & loss of investment from

    25 companies shut down

    v Loss of revenue to governments

    v Loss of farm resources:

    Largest shrimps farm & Rice paddies

    v Loss of rent on Lands and houses

    v

    National losses due to infrastructure breakdown

    v Loss of revenue from international trade (export & import)

    ECONOMIC Losses

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    v

    Human displacementv 13,000 people displaced

    v It has inundated 11 towns

    v 30 schools, 25 factories

    v Family dislocation

    v Communal Conflict

    SOCIAL Impact

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    What should have been done?

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    v Revise all legislation related to the exploration and exploitation of natural resources,

    and make sustainability, health, safety, environment and welfare of the host

    community the first and foremost priorities (WALHI).

    v Put in place a coherent, adequate and international legal framework1 forHS&EM in the mining industry

    v Institute strict monitoring, compliance and enforcement mechanism backed by a

    technical and sound legal framework (PPC) e.g. Polluter Pays Principle

    v Adopt and ensure compliance of International Best Practice for foreign investors andtheir local counterparts.

    v Create an increased awareness about the Environment, Health and Safety in both

    public and corporate domain.

    v An endless list...

    Some Suggestions ...

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    Thank you forlistening!

    ... and the disaster continues up till thisday!